Cost Accounting Essays (Examples)

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Accounting Is the Basic Function

Words: 1515 Length: 5 Pages Document Type: Essay Paper #: 74934849

Yet, financial statements and managerial accounting reports can be highly effective nonetheless. Sometimes they will merely confirm what the proprietor already knows, but there are inevitably going to be times when they will reveal that the proprietor's assumptions about the nature of the business are false. Moreover, accounting can act as essentially a second opinion. The proprietor may feel one thing is true, but the numbers can reveal something different.

Overall, accounting is an essential component of any business. Sole proprietorships often make less use of accounting, in part because the law does not obligate them to engage in any more than the most rudimentary accounting. However, proprietors should not overlook the value of accounting. Accounting helps to reveal the business' past performance, but can also be used to enact organizational controls today and to help plant for more effective operations in the future. By understanding the firm's cost structure…… [Read More]

Works Cited

Marshall, David H.; McManus, Wayne W & Viele, Daniel F. (2008). Accounting - What the Numbers Mean. McGraw-Hill/Irwin, New York, 2008.
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Accounting History Accounting Texts Were

Words: 1149 Length: 4 Pages Document Type: Essay Paper #: 73553193

Wood was used more for recording, ink and seals were used to write accounts on top of a piece of wood. It was used mostly by everyone as it was inexpensive plus it was very easy to write on top of it. Marked stick also played many roles, also known as counting tally. ut in fourteenth century, there was an argument for a decline in tallies and to increase the use of paper which was found in England. Still this was an expensive import, in a result tally remained there for many years along for efficient calculation's an abacus was used.

y 1700, few professional accountants were found in Scotland for the Italian method of book keeping. ut by 1800 there were many professional accountants who were operating in the major Scottish towns as the knowledge of accounting became even more common in the business community. The notable accountants were…… [Read More]

Bibliography

Basil Selig & Robert Henry. "Accounting History: Some British Contributions" 1994. http://www.google.com.pk/books?id=avQ6KzZEzHoC&printsec=frontcover&dq=accounting+history&sig=BzfVxGuY9YCOP2zRSRbDXtQIeCM
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Accounting Ratios the Financial Statements

Words: 2089 Length: 5 Pages Document Type: Essay Paper #: 78170223

An unaware analyst may think the second company to be better but in reality its low encouraging level is due to the fact that it is unable to secure additional funding. The companies may possess different capital structures and to attempt comparison of performance when one is all equity financed and another is a geared company may not suffice for a good analysis. The chosen application of government incentives to several companies may also twist the inter-company evaluation. There may be the possibility of providing a company with the tax holiday while the other within the same line of business not, and evaluation of such two enterprises may be misleading. (Session 15: Limitation of atio Analysis)

As a matter of principle, the accounting strategies are required to be applied persistently. Changes are required to be emphasized and the influence of variations from an original policy revealed. This is applicable when…… [Read More]

References

Accounting and decision making - Ratio analysis. Retrieved from http://www.learn.co.uk/cima-mc/lesson4/page4.htm Accessed on 22 April, 2005

Basic Financial Statement Analysis: Objective 3: Explain the limitations of ratio analysis. Retrieved from http://www.wu-wien.ac.at/usr/h93/h9352467/Limitations%20on%20Ratio%20Analysis/limitationonra.html Accessed on 22 April, 2005

Cars, Andreas. 2002. The Dynamic Current Ratio. 3 September. Retrieved from  http://www.investopedia.com/articles/02/090302.asp  Accessed on 22 April, 2005

Covers Information from Accounting 200 and 201. Retrieved from http://www.everettcc.edu/emplibrary/Financial%20Ratios.pdf Accessed on 22 April, 2005
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Accounting Differential Cost Differential Cost Strategy When

Words: 1151 Length: 4 Pages Document Type: Essay Paper #: 19421400

Accounting

Differential Cost

Differential Cost strategy when used by an educational entity such as UOS means that the institution determines what it would cost to offer alternative forms of education based on the number of students interested in choosing those alternative forms. In other words, by offering choices to the students based on the student's specific needs and desires and then measuring the difference in cost when compared to other educational offerings, the school will know exactly what the differential cost is. This allows the school to offer courses and activities in the most efficient and effective manner, and in a manner that produces the highest amount of revenue with the lowest cost. By knowing the difference between the school's offerings and what the same type of offerings are being offered by their competitors, the school will be capable of offering more for less. As an example, if the school…… [Read More]

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Costing the Analysis Is Based

Words: 2854 Length: 10 Pages Document Type: Essay Paper #: 67582377

Dibsa should turn towards the market-based pricing strategy, which sees the implementation of competitive prices for the 3-in-1 Lawnmower. The selection of this combination of strategies would generate several impacts upon the company, but most of them would be obvious at product lifecycle level. In this order of ideas:

The sales revenues would be significantly high throughout the first six months and they would allow the company to cover for the large costs incurred in the manufacturing of the product as well as register profits; they would however decrease with the implementation of the market pricing strategy and the 3-in-1 Lawnmower would metamorphose from a star product into a cash cow

The costs incurred in the manufacturing of the new lawnmower have already begun to decrease and will continue to do so; the actual impact of the pricing strategy is limited, with the specification however that these costs will not…… [Read More]

References:

Berman, K., Knight, J., Case, J., 2006, Financial Intelligence: A Manager's Guide to Knowing what the Numbers Really Mean, Harvard Business Press

Bolander, S.F., Gooding, C.W., Mister, W.G., 1999, Transfer Pricing Strategies and Lot Sizing Decisions, Journal of Managerial Issues, Vol. 11

Drudy, C., 2004, Management and Cost Accounting, 6th Edition, Cengage Learning EMEA

Goetz, Jr., J.F., 1985, the Pricing Decision: A Service Industry's Experience, Journal of Small Business Management, Vol. 23
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Costing Process V Job Costing

Words: 649 Length: 2 Pages Document Type: Essay Paper #: 42204177

Another example of pure job costing is web development, where the processes themselves vary hugely from project to project, meaning the cost and time involved also varies.

esponse

Dosch & Wilson (2010) do seem to do a good job of defining job and process costing, and the person who posted this seems to have understood these definitions fairly well in the abstract -- that is, the definitions provided seem reasonable and the application of these definitions to businesses chosen by the poster are explained in a way that clearly links them to these definition. At the same, the poster seems to have had some trouble accurately identifying companies where job costing might be employed, despite grasping the abstract technicalities of the definition of job costing. While it is likely that an individual laborer might be able to identify that they worked on a particular section of an airplane or wall…… [Read More]

References

Chan, Y. (1993). Improving hospital cost accounting with activity-based costing. Health care management review 18(1).

Dosch, J., & Wilson, J. (2010). Process Costing and Management Accounting in Today's

Business Environment. Strategic Finance, 92(2), 37-43. Retrieved from EBSCOhost.
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Accounting for Decision-Making

Words: 2947 Length: 10 Pages Document Type: Essay Paper #: 40031651

Accounting for Decision Making

Shelter Partnership's Case Study

Purposes of Cost Information

The intended purpose of cost information is to provide a basis for determining the expenses and revenues associated with a particular activity (or cost object). Generally, cost and income is measured in order to determine net income or profit margins. However, as Shelter Partnerships is a non-profit, the cost information forms a basis for the allocation of resources and to assist with decisions about scaling. The cost information of Shelter Partnerships can also be used to address any cycles in the stream of donations and contributions that can impact the overall ability of the non-profit to meet its mission. In addition, since Shelter Partnership regularly applies for grant funding, it is essential that their accounting system be readily interpretable to grant reviewing bodies. Fund development cannot be sustained for long in an environment that is only loosely accountable…… [Read More]

References section.

Prestige Telephone Company (2004) [Course Notes ] AIM 4343 Retrieved

http://docs.google.com/viewer?a=v&q=cache:8mLK7amCBPsJ:www.utdallas.edu/~nataraj/bvitnotes/prestige-4343-additional%2520notes.doc+prestige+telephone+company&hl=en&gl=us&pid=bl&srcid=ADGEESi8FtXm5B7NuuW18v2J8OH2UZNzEcX4JW56bO6N8BfJo45r8tU2cdQoMD5inmsAvvmLUpSJmc2PZipagRT9Bb8amI0HIl11VnuG01UoIaQ0JGe5a9s4qRDER9TQ6__hOULAGkwy&sig=AHIEtbTUwxshUvDi_5CWduM7fG8M1h3Yzw&pli=1

ACCOUNTING FOR DECISION MAKING

Question 3.
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Accounting Profession Towards a More

Words: 3151 Length: 10 Pages Document Type: Essay Paper #: 57289159

However, when a shock happens that changes that pattern, the information is no longer relevant. In periods of turmoil, only the most up-to-date information is relevant. The usefulness of the information wanes quickly as the behavior of the company becomes more erratic. After a period of erratic behavior and change, the company may be forced to make internal changes that affect the way they do business. They may make changes that affect their inventory management, sales cycle, stock levels, supply chain, distribution network or other fundamental business functions. New patterns may emerge and the old information no longer applies.

The term "relevancy" can have many different meanings depending on what is happening with the company. A new accounting regime may need to be instituted when a change takes place. Looking at the most recent historical information is one way to determine the relevancy of the accounting information. The analyst needs…… [Read More]

References

Cadwalader, Wickersham, & Tact LLP. 1999. Application of the Safe Harbor for Forward-

Looking Statements. Findlaw. Accessed April 23, 2009

.

Giroux, G. (n.d.). American Big Business and Cost Accounting. In a Short History of Accounting and Business. Accessed April 23, 2009
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Accounting CVP Analysis for Snap

Words: 610 Length: 2 Pages Document Type: Essay Paper #: 56411415



It is known that the membership fee is $26. Using this, the variable cost per member can be calculated, as shown in table 2.

evenue per member (a)

$26

Fixed costs per member (b)

$20

Variable cost (a-b)

$6

If the membership fee is $26 per member, the membership fee, less the fixed cost (at the break even point) will give the variable cost per member.

The information in tables 1 and 2 can be used to assess the number of membership the Snap Fitness will need to sell each month if they wish to make a profit of $10,000 per month. As seen above, it is the contribution per unit that will initially pay for the fixed costs and then the profit. To calculate the sales needed for a predetermined profit level, the required profit should be added to the fixed costs. That total may then be divided by…… [Read More]

References

Horngren, Charles T; Foster, George; Datar, Srikant M; Rajan, Madhav, (2008), Cost Accounting: A Managerial Emphasis, Prentice Hall

Kinney, Michael R; Raiborn, Cecily a, (2012), Cost Accounting: Foundations and Evolutions, South-Western College Pub

Assuming no other fixed costs
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Accounting Allows Managers to Better

Words: 645 Length: 2 Pages Document Type: Essay Paper #: 50133555

d.). The methods by which this information is gathered will differ based on the type of production that is being undertaken. Cost flow assumptions relates to how costs flow through inventory accounts. This can include FIFO, LIFO, weighted average and other methods. This impacts the costs because it helps to determine which costs are counted for which period. Recording interval capability refers to the points in time when a company takes inventory. Many firms use perpetual inventory, but some firms will take inventory periodically in order to provide this information.

Overall, cost accounting systems provide the information that managers need with respect to the costs of a product. By using a specific system, wherein decisions about methodology are made about each of the five parts of the cost accounting system, the system will be consistent through different products and through different time periods for the same product. This will ensure…… [Read More]

Works Cited:

Kinney, M. & Raiborn, C. (2009). Cost accounting: Foundations and evolutions. Mason, OH: Thomson Higher Education.

Martin, J. (no date). What is a cost accounting system? Management and Accounting Web. Retrieved June 23, 2010 from  http://maaw.info/5partsofcostsystem.htm 

Cooper, R. & Kaplan, R. (1988). How cost accounting distorts product costs. Management Accounting. Vol. 69 (10) 20.
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Accounting the Most Effective Means

Words: 2730 Length: 9 Pages Document Type: Essay Paper #: 2716657

ystems of income and financial position would superimpose standards of normalization upon everyone within the firm. Accounting, thereby, had achieved Foucault's definition of knowledge as power over people per excellence. By the 1950s, however, person as decision-maker replaced this vision of person as machine, and accounting still has power in our society, but a different sort of power. Likewise, accounting still possesses its constructivism (i.e. manner of perceiving a certain stranglehold on reality by emphasizing certain construct and demoting others), although its constructivist paradigm may have differed from that of, say, a century ago. Individuals are viewed, measured, and criticized within programmatic frameworks, and Miller and O'Leary (1987) suggest that accounting today can still be viewed as part of the heritage and structure (albeit slightly changed) of the traditional mode of power that it was in the early decades of this century. In other words, the slanted domination of accounting…… [Read More]

Sources

Armstrong, P. 2002, "Management, Image and Management Accounting. Critical Perspectives on Accounting, 13, pp. 281-295

Bryer, R. 2006, "Accounting and control of the labour process" Critical Perspectives on Accounting, 17, pp 551-598.

Chwastiak, M. & Young, J.J. 2005, "Silences in Annual Reports, Critical Perspectives on Accounting, 14, 533- 552

Ezzamel, M., Lilley, S. & Willmott, H. 2004, "Accounting representation and the road to commercial salvation." Accounting, Organizations and Society, 29, pp. 783- 813.
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Accounting Important Success Firm What Methods Cost

Words: 960 Length: 3 Pages Document Type: Essay Paper #: 40102732

accounting important success firm? What methods cost accounting ? The paper (a) identify main issues chosen area, (b) reference learning occurred, (c) build class activities incidents facilitated learning understanding, (d) present specific current / future applications relevance typical workplace.

Cost accounting -- definition, importance, methods

The modern day society is constantly presenting the economic agent with more numerous and more pressing challenges. In order to face them and emerge as a competitive institution, firms develop and implement a wide array of strategies, such as creating customer value, developing the skills of the staff members, establishing strategic partnerships or creating financial stability and accountability. One specific means in this endeavor is represented by cost accounting, which represents a key to organizational success. The current project focuses on the identification of the reasons as to why cost accounting is important to organizational success. A secondary research objective is that of pin pointing…… [Read More]

References:

Pizzey, A., 1989, Cost and management accounting: an introduction for students, 3rd Edition, SAGE

2009, Cost accounting definition, Accounting for Management, http://www.accountingformanagement.com/cost_accounting_definition.htm last accessed on January 26, 2011

2010, Activity based accounting, Accounting Coach, http://www.accountingcoach.com/online-accounting-course/35Xpg01.html last accessed on January 26, 2011

2010, Cost accounting, Investopedia,  http://www.investopedia.com/terms/c/cost-accounting.asp  last accessed on January 26, 2011
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Accounting When it Comes to

Words: 1792 Length: 6 Pages Document Type: Essay Paper #: 80183848

When it comes to standard costing, what is referred to as a standard cost is assigned the costs (actual) of manufacturing overhead, direct labor as well as direct material. In this case, these costs are not assigned to a product. It therefore follows that amounts mirroring standard costs are what become identified first in regard to the cost of goods sold as well as inventories of a given manufacturer. In this case, it can also be noted that standard costing is regarded a rather important tool of management. Incase of any variance, the top leadership of the organization immediately becomes aware of the variation between planned/standard costs and manufacturing costs.

Conclusion

The information provided by cost accounting is critical when it comes to the effective management of an organization. Without such information, decision making would become an equivalent of operating in the dark for most businesses. For instance, firms would…… [Read More]

References

Brammertz, W., Akkizidis. L., Breymann, W., Entin, R. & Rustmann, M. (2009). Unified Financial Analysis: The Missing Links of Finance. West Sussex: John Wiley & Sons.

Drury, C. (2007). Management and Cost Accounting (7th ed.). London: Cengage Learning EMEA.

Needles, B.E., Powers, M. & Crosson, S.V. (2010). Principles of Accounting (11th ed.). Mason, OH: Cengage Learning.

Siegel, J.G. & Shim, J.K. (2000). Accounting Handbook (3rd ed.). New York: Barron's Educational Series.
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Accounting Questions and Answers

Words: 1232 Length: 4 Pages Document Type: Essay Paper #: 51951868

financial crisis was abusive off-balance sheet accounting. Abusive off-balance sheet accounting led to a daisy chain of ineffective and dysfunctional decision-making because it removed transparency from regulators, investors, and markets. Spread of derivative transactions, bad loans, and securitizations brought a once stable financial system to the edge of ruin. While improvements have been made, the FASB's guidelines suffer from two main flaws. The first is lack of congressional mandate. With no clear congressional mandate, FASB and SEC guidelines remain subject to the same type of interpretation that led to the growth of 'regulatory arbitrage' or what others may pen as financial engineering, meaning shifting debts off-balance sheets. This means a company must consolidate a VIE only when it possesses 'control' and has the right to receive benefits and access to VIE's 'most pertinent activities' making the design of the guidelines qualitative in nature (Stickney, 2010).

The guidelines then require assumptions…… [Read More]

References

Larkin, R. & Ditommaso, M. (2016). Wiley Not-for-Profit GAAP 2016. Wiley.

Ramanna, K. (2016). Why "Fair Value" Is the Rule. Harvard Business Review. Retrieved 24 October 2016, from https://hbr.org/2013/03/why-fair-value-is-the-rule

Shaik, K. (2014). Managing Derivatives Contracts. Berkeley, CA: Apress.

Stickney, C. (2010). Financial accounting. Mason, OH, USA: South-Western Cengage Learning.
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Accounting Systems Their Tradeoffs and Discusses the

Words: 936 Length: 2 Pages Document Type: Essay Paper #: 32923663

accounting systems, their tradeoffs, and discusses the differences between countries in their approaches.

Each of the cost accounting systems discussed in the articles accomplishes some management goals better than other systems, but there are tradeoffs involved with each. Different nations approach their cost accounting systems differently due at least in part to differences within cultures. For instance, GP is more suited to countries where the culture is one of uncertainty avoidance, one of the five dimensions of Hofstede's taxonomy. GP offers the most uncertainty avoidance because there is relatively little ambiguity in the assignment of costs; GP is characterized by narrowly defined cost centers and strict cost center criteria. Cultures such as Germany's are characterized by a management environment that includes highly skilled workers and technical expertise among managers. This is in contrast to the U.S. where workers tend to have more generalist skill sets and managers have been educated…… [Read More]

Krumwiede, Kip & Suessmair, Augustin, (2008). A closer look at German cost accounting methods: a survey of the cost management systems used by companies in Germany, Switzerland, and Austria. Management Accounting Quarterly. Retrieved July 26, 2010, from http://findarticles.com/p/articles/mi_m0OOL/is_1_10/ai_n31370936/?tag=r bxcra.2.a.55

Lockhart, Julie & Taylor, Audrey, (2007). Environmental considerations in product mix decisions using ABC and TOC. Management Accounting Quarterly. http://proquest.umi.com/pqdweb?index=0&did=1411673321&SrchMode=1&sid=9&Fmt=3&VInst=PROD&VType=PQD&RQT=309&VName=PQD&TS=1301590287&clientId=29440

Portz, K. & Lere, J.C. 2010. Cost Center Practices in Germany and the United States: Impact of Country Differences on Managerial Accounting Practices. American Journal of Business. Muncie: Spring, 2010. Vol. 25, Iss. 1; pg. 45. http://proquest.umi.com/pqdweb?index=25&did=1992507361&SrchMode=1&sid=6&Fmt=2&VInst=PROD&VType=PQD&RQT=309&VName=PQD&TS=1315214891&clientId=29440
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Using Relevant Costs to Calculate Overhead

Words: 1687 Length: 6 Pages Document Type: Essay Paper #: 82678030

Accounting

This accounting report is intended to emphasize the importance of the role of a management accountant in business operational and financial decisions. The focus on two companies engaging in different lines of business with disparate concerns, questions, and issues provides a basis for the reader to understand specific instances in which a management accountant can play a pivotal role in the success of an enterprise. W. White Chemicals was perplexed about their loss of market share and a small drop in revenue. When the executives came together to discuss the problems, they each had a different opinion about the source of the problem and the possible solutions. The management accountant was able to demonstrate how a change from the traditional accounting system the company was using to an activity-based system would help the team interpret the market situation and get a handle on the actual, rather than the obfuscated,…… [Read More]

Bibliography

Fontinelle, A. (2014). What management accountants do. Investopedia. Retrieved from http://www.investopedia.com/articles/professionals/041713/what-management-accountants-do.asp

Appendices

6

PART A
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Accounting the Role of Financial Statements in

Words: 906 Length: 3 Pages Document Type: Essay Paper #: 39784246

Accounting

The role of financial statements in investing is that they provide a consistent format that can be used by potential investors and other stakeholders to evaluate a company. There are several components that facilitate this happening. For publicly-traded firms, Generally Accepted Accounting Principles (GAAP) play a key role in the creation of financial statements. GAAP is a common set of accounting principles and procedures that companies use to compile their financial statements (Investopedia, 2012). ith companies having to produce their statements according to a common set of criteria, the information is easier to compare not only between different years at the same company, but also against other firms in the industry and all other publicly-traded firms.

The IFRS is essentially the international version of GAAP. Financial statements in many countries, especially those in Europe, are produced according to IFRS. There are a many areas where GAAP and IFRS diverge,…… [Read More]

Works Cited:

AICPA. (2011). International financial reporting standards (IFRS): An AICPA backgrounder. AICPA. Retrieved March 22, 2012 from  http://www.ifrs.com/pdf/IFRSUpdate_V8.pdf 

Beiersdorf 2011 Annual Report. Retrieved March 22, 2012 from  http://www.beiersdorf.com/GetFile.ashx?id=3243 

Investopedia (2012). Generally Accepted Accounting Principles (GAAP). Investopedia. Retrieved March 22, 2012 from  http://www.investopedia.com/terms/g/gaap.asp#axzz1pmKm2c8C 

Revlon Fiscal Year 2011 Form 10-K. Retrieved March 22, 2012 from http://services.corporate-ir.net/SEC/Document.Service?id=P3VybD1odHRwOi8vaXIuaW50Lndlc3RsYXdidXNpbmVzcy5jb20vZG9jdW1lbnQvdjEvMDAwMTE5MzEyNS0xMi0wNjUzMTAvZG9jL1JldmxvbkluYy5wZGYmdHlwZT0yJmZuPVJldmxvbkluYy5wZGY=
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Accounting Forms the Overall Backbone of the

Words: 1922 Length: 5 Pages Document Type: Essay Paper #: 77472520

Accounting forms the overall backbone of the financial world. Financial markets are predicated on consumer and user confidence. Without confidence, consumers attempting to make financial decisions will be doing so using inaccurate and incomplete information. The lack of transparency regarding the truthfulness of reported numbers creates uncertainty within the capital markets. This uncertainty regarding the accuracy of information ultimately undermines the overall financial system, causing harm to society in the process. Investors will require higher rates of return, individuals will become unlikely to invest, and innovation could become stifled, harming the quality of life for society overall. Accounting standards, particularly those from the IFRS, are required to help maintain confidence in the reliability of reported financial performance. These standards, such as IFRS , are often amended to reflect the economic realities of business transactions. These changes, although well intended, may often have unintended consequence. This is particularly true for IFRS…… [Read More]

8) Jeffers, Agatha; Mengyu Wei; Sidney Askew (2010). "The Switch from U.S. GAAP to IFRS." Proceedings of the Northeast Business & Economics Association: 48 -- 54

9) Oler, Derek K., Mitchell J. Oler, and Christopher J. Skousen. 2010. "Characterizing Accounting Research." Accounting Horizons 24 (4): 635 -- 670

10) Perks, R.W. (1993). Accounting and Society. London: Chapman & Hall. p. 16. ISBN 0-412-47330-5.
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Accounting Deals With Financial Transactions

Words: 740 Length: 2 Pages Document Type: Essay Paper #: 71580661



The Statement of Owners' Equity

The statement of owner's or shareholders' equity is designed to show the components of the change in equity from the end of one fiscal year to the next. Beginning with the amount of equity shown at the end of the previous fiscal year, net income is added and cash dividends paid to the owners are subtracted. If owners contributed any additional capitol this amount (such as the sale of new shares) it is added to the equity. On the other hand, if the owners withdrew capitol, equity declines. All the additions and subtractions, taken together, equal the changes in owner equity from one fiscal year to the next (Kurtz, 2010).

The Statement of Cash Flows

Public companies are required to prepare and publish a statement of cash flows. This statement provides investors and creditors with relevant information about a firm's cash receipts and cash payments…… [Read More]

References

Kurtz, D.L. (2010). Contemporary Business, 13th ed. Hoboken, NJ: John Wiley & Sons Inc.

"The Four Financial Statements" (NDI). The four financial statements. QuickMBA. Retrieved July 24, 2011, from  http://www.quickmba.com/accounting/fin/statements/
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Accounting There Are a Couple of Different

Words: 489 Length: 2 Pages Document Type: Essay Paper #: 91757615

Accounting

There are a couple of different issues with the Smith Company statements. The first question relates to the $45,500 worth of products. This would not be recorded as income, because the customer has not committed to the purchase. Revenue recognition rules hold that revenue cannot be recognized until the sale has been finalized (Investopedia, 2013). This revenue must be removed from the income statement. hile the description of the situation is unclear, it appears that this amount was removed from the revenue already, so that the $406,000 in revenue on the income statement is the correct amount.

The next issue is the inventory problem. The inventory account is currently showing $25,000, which was the result of a physical count. There was no adjusting entry to the inventory for the $45,500 that was added to and subsequently removed from revenue. The question appears to be implying, when it should be…… [Read More]

Works Cited:

AccountingTools.com. (2013). The matching principle. AccountingTools.com. Retrieved March 9, 2013 from http://www.accountingtools.com/matching-principle

Investopedia. (2013). Revenue recognition. Investopedia. Retrieved March 9, 2013 from  http://www.investopedia.com/terms/r/revenuerecognition.asp#axzz2N52vD1oy
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Accounting Convergence the State of

Words: 608 Length: 2 Pages Document Type: Essay Paper #: 52900563



Purpose/Perceived Value

The findings of this report will be valuable to two different audiences. The first consists of accounting regulatory bodies. These bodies are working towards convergence and are presently struggling with the resistance from the business community. Understanding the nature of that resistance is key to finding ways of overcoming it. For the large publicly traded corporations themselves, this report will help them understand why they and their peers are resistant, and this will shed light on whether or not that resistance is justified. Convergence is coming whether the corporate world is ready for it or not, but the key for corporations is to understand what convergence is, why it is important, and which elements of their resistance are not worth the effort. For both parties, it is important to work together to make the convergence process as smooth as possible, and that is going to take a greater…… [Read More]

Works Cited:

Qu, X. & Zhang, G. (no date). Measuring the convergence of national accounting standards with International Financial Reporting Standards: The application of fuzzy clustering analysis. Xiamen University. In possession of the author.

Larson, R. & Street, D. (2004). Convergence with IFRS in an expanding Europe: Progress and obstacles identified by large accounting firms' survey. Journal of International Accounting, Auditing and Taxation. Vol. 13 (2004) 89-119.

AICPA. (2011). International Financial Reporting Standards (IFRS): An AICPA backgrounder. American Institute of CPAs. In possession of the author

AICPA (2010). Financial system considerations in IFRS conversion projects. American Institute of CPAs. In possession of the author.
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Accounting Adjusting Entries Are Required

Words: 765 Length: 3 Pages Document Type: Essay Paper #: 55930731



Such adjusting entries will help to improve the accuracy of financial statements. Adjusting entries is necessary because accrual accounting systems demand that the events are recorded accurately. They are not to be recorded strictly on the basis of cash transactions, and all of these adjustments serve to translate the accounting figures that arise from the cash accounting to accrual accounting by incorporating all of the different non-cash transactions and ensuring that every element of the income statement and balance sheet is correct.

On a computerized accounting system, there might be software that can actually make these entries. If not they will need to be entered manually into the system.

As with any accounting, there are certain ethical issues that need to be understood. The accrual statements are where we report our profits and losses. It is important that they are completed accurately. Any fraud is illegal and cannot be tolerated.…… [Read More]

Works Cited:

No author. (2012). Adjusting entries. Accounting Coach.com. Retrieved November 29, 2012 from http://www.accountingcoach.com/online-accounting-course/08Xpg01.html
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Accounting and Intrusion Detection in a Report

Words: 6872 Length: 25 Pages Document Type: Essay Paper #: 17210308

Accounting and Intrusion Detection

In a report issued by Paladin Technologies, Inc., entitled: "Security Metrics: Providing Cost Justification for Security Projects," 273 organizations were surveyed on the topic of security. The report illustrates in quantifiable terms the depth and reach of intrusion detection on the financial viability of the organization. The combined reported losses from the firms surveyed totaled $265.6 million in 1999. The highest loss categories were reported as follows:

Type of Loss

Estimated Dollar Value

Number of espondents

Theft of intellectual capital

m

Financial Fraud

m

Sabotage

m

The average annual financial loss of firms surveyed was estimated at $40 million. Forty three percent of respondents were able to quantify financial losses, and seventy four percent were able to acknowledge financial loss. Ninety percent detected cyber attacks within the most recent twelve-month period and seventy percent reported serious breaches other than viruses, laptop theft, and employee abuse of…… [Read More]

Resources

Risk Assessment risk assessment involves estimating the likelihood and severity of an occurrence, the relative impact of risk on the facility, information handler, processing, support, and the mission of the organization. Assessing the likelihood means determining the probability that existing controls will be skirted. Pfleeger has identified a series of steps for examining the likelihood of adverse occurrences:

Calculate the probability that the risk may happen, found in the observed data for the specific system.

Estimate the likely number occurrences in a given time period. The analyst gives a rating based on several different risk analysis methodologies, and then creates a table to hold and compare the ratings.

The Delphi approach: several raters individually estimate the probable likelihood of an event, combine their estimates, and choose the best one.
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Accounting Maryville Online Company Trial

Words: 1030 Length: 3 Pages Document Type: Essay Paper #: 4731429

Absence of adjusting entries would most likely to either understate or overstate the accounts in the period of reporting and will have an adverse effect on the following reporting period. This is true except for bad debts or doubtful accounts and depreciation. eing in nature of an expense accounts and valuation accounts, absence of adjustments would overstate the operational performance of the business and at the same time overstate valuation of the particular asset it is supposed to reduce to its realizable value. Such absence would affect only the particular period where adjustment was omitted. To illustrate, salaries and wages of workers should be recorded as expense for the period, even if the actual payment falls on the following period. Failure to record the expense would understate salaries and wages for the year as well as understatement or omission of a liability regarding the same. The effect is an overstated…… [Read More]

Bibliography

Adjusting Entries (2007). Retrieved April 19, 2007, at http://www.netmba.com/accounting/fin/process/adjusting

Trial Balance. (2007). Retrieved April 19, 2007 from http://www.quickmba.com/accounting/fin/trial-balance

Petty Cash account (2007). Retrieved April 19, 2007 from http://www.elca.org/treasurer/congregations/pettycash.html
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Accounting From an Investor's Perspective What Is

Words: 1071 Length: 3 Pages Document Type: Essay Paper #: 29930782

Accounting

From an investor's perspective, what is the most important information on the income statement? Why? From management's perspective, what is the most important information on the income statement? Why?

The income statement, also called the profit and loss statement is the financial statement that details a company's sales and earnings. When evaluating an income statement, the savvy investor usually wishes to maximize his or her immediate or long-term ability to make a profit on a stock. Thus, conventional wisdom holds that investors should buy when a stock's price to earnings ratios are low and sell when these ratios are high. In other words, if a stock stands to earn a great deal and has a strong track record of doing so, yet is priced relatively cheaply in relation to those future earnings, it is wise for an investor to buy that stock. The reverse is true as well, though…… [Read More]

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Accounting for Partnerships Businesses Can Be Classified

Words: 2169 Length: 7 Pages Document Type: Essay Paper #: 72324982

Accounting for Partnerships

Businesses can be classified into various forms of ownership. In this text, I concern myself with partnerships. In so doing, I will discuss partnerships and the various advantages as well as disadvantages associated with this form of business ownership. Further, I will also highlight the Financial Accounting Standards (FAS) governing accounting for this form of business ownership from creation and operation to liquidation. Partnerships' tax consequences will also be discussed.

Partnerships: Advantages and Disadvantages

Just like any form of business ownership, partnerships also do have several advantages and disadvantages. A partnership according to Needles, Needles and Powers (2010) is "an association of two or more persons to carry on as co-owners of a business for profit." In that regard, a partnership is formed when two or more people come together with an aim of initiating a business activity. Individuals may be motivated to start a partnership form…… [Read More]

References

Clifford, D.C., Warner, R.E. & Warner, R. (2008). Form a Partnership: The Complete Legal Guide (8th ed.). Berkeley: Nolo.

Eisen, P. (2000). Accounting (4th ed.). Hauppauge, New York: Barron's Educational Series.

Needles, B.E. & Powers, M. (2010). Financial Accounting (11th ed.). Mason, OH: Cengage Learning.

Pride, W.M., Hughes, R.J. & Kapoor, J.R. (2011). Business (11th ed.). Mason, OH: Cengage Learning.
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Accounting and Finance Henkel AG Is a

Words: 2826 Length: 10 Pages Document Type: Essay Paper #: 72406272

Accounting and Finance

Henkel AG is a multinational company focusing its brand and technologies in three business areas that include Beauty Care, Laundry & Home Care and Adhesive Technologies. Established in 1976, the company holds its global market positions in both the consumer and industrial products with well-known brands that include Lactate, Persil, and Schwarzkopf. Henkel's headquarter is in Dusseldorf in German and the company has over 47,000 employees globally. Typically, the company is considered among the most "internationally aligned German-based companies in the global marketplace." (Henkel 2012).

Objective of this paper is to use various financial models to carry out financial analysis and valuation of financial Henkel AG.

Valuation Model

One of the methods to carry out the valuation of a company is to use enterprises discounted cash flow (DCF). The DCF could be carried out using WACC (weighted average cost of capital) that represents the opportunity costs that…… [Read More]

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Accounting for Decision Making Roland Anderson Is

Words: 522 Length: 2 Pages Document Type: Essay Paper #: 64168311

Accounting for Decision Making

Roland Anderson is the manager of the Ekland Division of Ystad Industries and has some decisions to make based on accounting data. Anderson is also being considered for the CEO position of the company which makes his dilemma even greater. He is unhappy with the profitability for the first quarter and is considering maxing out the capacity of the operation in the second quarter. It was found that Anderson actually performed fairly well based on the assumption that his actual costs were below the variable costs provided in the case using the contribution method. Doubling the production plan would be an unwise move given the fact that the sales forecast is only for twenty five thousand units. Thus if he produces fifty thousand units he would have greater inventory and it is likely that he would have to cease operations and let some workers take a…… [Read More]

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Accounting A I Using Direct Labour Hours

Words: 1350 Length: 5 Pages Document Type: Essay Paper #: 101465

Accounting

a) i) Using direct labour hours as the cost driver for the overhead costs, the following table presents the net profit calculation for each line of motorcycle:

Vroom plc

Total Profit

Driver:

Direct labour

Sunshine

oadster

Fireball

Output

DL

P

Materials

evenue

less DL

less Materials

Gross Profit

Less Overhead

Net Profit

Activity-based costing is designed to allocate overhead costs based on the resources that each activity consumes (The Economist, 2009). The key to activity-based costing is that the cost drivers are assigned differently, and in a manner that should better reflect actual resource usage than a cost driver that may be picked almost at random (Investopedia, 2013). Using ABC, the following are the net profit calculations for the three different products at Vroom.

Vroom plc

Total Profit

Driver:

ABC

Sunshine

oadster

Fireball

Output

DL

100000

110000

40000

250000

P

Materials

Deliveries

Set-ups

Purchase orders

evenue

7

8

2800000…… [Read More]

References

The Economist. (2009). Activity-based costing. The Economist. Retrieved November 12, 2013 from  http://www.economist.com/node/13933812 

Investopedia. (2013). Activity-based costing. Investopedia. Retrieved November 12, 2013 from  http://www.investopedia.com/terms/a/abc.asp
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Accounting and Finance Comparison of Selected Financial

Words: 1024 Length: 3 Pages Document Type: Essay Paper #: 80991135

Accounting and Finance

Comparison of Selected Financial Performance Data for WalMart and Target

WalMart and Target compete in very similar markets, competing in the supermarket segment of the retail industry, with some diversified interests. To assess the performance of these two firms, their results for the financial years ending January 2012 and 2013 may be examined and compared. This paper will look at the performance in terms of revenues, cost of goods, accounts receivable and payable and inventory management.

evenues

The performance of a firm often starts with an assessment of the revenue that is generated and the way in which this changes over time. The revenues for both WalMart and Target are shown in table 1.

Table 1; evenue for WalMart and Target 2012-2013

WalMart

Target

2012(Jan)

2013(Jan)

2012(Jan)

2013(Jan)

evenues ($ millions)

446,950

469,162

69,865

73,301

Change in revenues from previous year

The levels of revenues demonstrate that…… [Read More]

References

Target, (2013), 10k, retrieved  https://corporate.target.com/_media/TargetCorp/annualreports/content/download/pdf/Annual-Report.pdf?ext=.pdf 

WalMart, (2013), 10k, retrieved  http://www.sec.gov/Archives/edgar/data/104169/000010416913000011/wmt10-k.htm
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Accounting Kaplan and Anderson 2005 Notes That

Words: 932 Length: 3 Pages Document Type: Essay Paper #: 37955260

Accounting

Kaplan and Anderson (2005) notes that activity-based costing (ABC) systems are not as effective in practice as they are on paper. Among the grievances that Kaplan notes with respect to ABC, the system is not very scalable, losing power as the company gets larger. The textbook version is usually a very simple company with a handful of activities, but in the real world companies can have hundreds of products, thousands of activities and tens of thousands of customers. This presents a challenge, because activity-based costing requires a substantial amount of information in order to be effective. Past a certain scale of organization, activity-based costing does not deliver a good return on investment because of the costs associated with gathering and analyzing this information. Kaplan wrote this in 2005, mind you, when perhaps information gathering and processing capabilities were somewhat worse than they are today. Certainly doing ABC manually is…… [Read More]

References

Gilbert, S. (2007). Adding time to activity-based costing. Working Knowledge. Retrieved March 15, 2014 from http://hbswk.hbs.edu/item/5657.html

Kaplan, R. & Anderson, S. (2005). Rethinking activity-based costing. Working Knowledge. Retrieved March 15, 2014 from http://hbswk.hbs.edu/item/4587.html
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Costs at Netflix

Words: 811 Length: 2 Pages Document Type: Essay Paper #: 69424861

Accounting

Netflix Costs

Netflix is a well-known media company. The firm makes media content available to customers based on a monthly subscription fee. The main area of the business is the internet television network, with the company streaming media content such as television programs and films, to more than 44 million subscribers across more than 40 counties (Netflix, 2013). In addition the firm also has a DVD rental segment, sending out DVD's by post. This model of operation places the firm in the service sector; the service offered being the media distribution. The firm is divided into three segments; the postal rental business in the U.S., the domestic internet streaming business in the U.S. And the international streaming business.

The firm has an inventory; there is a physical inventory of the DVD that is sent out for the postal rental service. The digital content library is not a physical inventory,…… [Read More]

References

Netflix, (2013), 10-k, accessed 18th May 2014 at http://ir.netflix.com/sec.cfm

Walther, L, M, (2012), Principles of Accounting, CreateSpace Independent Publishing Platform
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Accounting Fraud There Are Numerous

Words: 881 Length: 3 Pages Document Type: Essay Paper #: 2321933

But these bills were not received and paid for several months since these costs were incurred, while accounting principles required that the company made such payment estimations that were supposed to be matched by the revenues in the income statements. Therefore, the CFO told its subordinates to release accruals that were considered too high.

The CFOs of some of the units of WorldCom refused to book such entries. egardless of the CFOs repeated pressure, they refused to book these illegal entries. However, Sullivan managed to book his entries with the help of other managers that obtained the account number and determined subordinates to make the entry. In addition to this, some of the accounting department's employees made accrual releases without informing the senior managers.

This situation was established as a regular practice at WorldCom. The company's accountants also took part in this situation. This is because they accepted to release…… [Read More]

Reference list:

1. Kaplan, R. & Kiron, D. (2008). Accounting Fraud at WorldCom. Harvard Business School. Retrieved January 30, 2011.
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Costing & Pricing Costing Decisions

Words: 1535 Length: 5 Pages Document Type: Essay Paper #: 97119816

Joint costing systems should bear in mind the legal constraints on the use of such systems, and should provide accurate information to managers in order to be most useful in the managerial accounting context.

Firms need to remain competitive, which indicates that the market will set prices to some degree. This implies that firms can make better decisions with respect to what projects/products they wish to pursue by understanding the cost structure of the product. If the product is not viable at the cost at which it can be produced, then the firm can improve profitability by dumping the product.

orks Cited:

Banham, R. (2000). Off target? CFO Magazine. Retrieved April 5, 2011 from http://www.cfo.com/article.cfm/2990860/c_3046531?f=magazine_alsoinside

Frederick, S. (2011).

The persuasive power of opportunity costs. Harvard Business Review. Retrieved April 5, 2011 from http://hbr.org/2011/01/column-the-persuasive-power-of-opportunity-costs/ar/1

Katz, D. (2002). Activity-based costing (ABC). CFO Magazine. Retrieved April 5, 2011 from http://www.cfo.com/article.cfm/3007694

McKinsey & Co.…… [Read More]

Works Cited:

Banham, R. (2000). Off target? CFO Magazine. Retrieved April 5, 2011 from http://www.cfo.com/article.cfm/2990860/c_3046531?f=magazine_alsoinside

Frederick, S. (2011).

The persuasive power of opportunity costs. Harvard Business Review. Retrieved April 5, 2011 from http://hbr.org/2011/01/column-the-persuasive-power-of-opportunity-costs/ar/1

Katz, D. (2002). Activity-based costing (ABC). CFO Magazine. Retrieved April 5, 2011 from http://www.cfo.com/article.cfm/3007694
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Accounting Two

Words: 1060 Length: 4 Pages Document Type: Essay Paper #: 98871348

Accounting II

ABC Overall risk profile

The ABC Company may face series of risks based on the current industry and economic issues. First, the company is operating in a competitive market environment making the company to face a fierce competition from other companies producing similar products. Thus, the ABC Company may likely to lose some of its customer to competitors if the price per product is too high.

Moreover, the current recession may affect the purchasing power of customer, which may affect the company annual revenue. Moreover, inflation is likely to increase the cost of production. Another risk issue is that the company should satisfy its shareholders by declaring high dividends and failure to satisfy the shareholder may make some shareholders to disinvest their fund from the company, which may make the company to lose the public image. (Daniel, Njikizana, . & Chamboko, 2011).

Current ABC cash flow using Direct…… [Read More]

Reference

Bragg, S.M. (2011). The Controller's Function: The Work of the Managerial Accountant, (Fourth Edition) UK. Wiley .

Daniel, B.M. Njikizana, C.T. & Chamboko, R. (2011). Interpretation and Application of International Financial Reporting Standards.UK. Wiley.
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Accounting Congo Limited Budget in

Words: 1426 Length: 5 Pages Document Type: Essay Paper #: 22027583

However, with budgeting, management can easily see how much money is available for projects and what the most pressing issues of the company are. Without the budget, the company is doomed as it is unable to account for its cash flow and revenue streams (Sullivan, 2003).

Also, various financial models can be used to aid management. These tools can include sensitivity analysis and regression analysis. Sensitivity analysis in particular is a very crucial component within the overall business strategy of a firm. Sensitivity analysis helps properly forecast adverse scenarios under various market stressors. It also allows management to determine what variables have the greatest impact on the strategic outcome. Management must determine where capital should be deployed in the underlying business. Through budgeting management can determine to what extent capital should be deployed in a particular business. Budgeting is the foundation for proper financial planning. Through proper budgeting, financial planning…… [Read More]

References

1) Cliche, P. (2012). "Budget," in L. Cote and J.-F. Savard (eds.), Encyclopedic Dictionary of Public Administration, [online],  http://www.dictionnaire.enap.ca/Dictionnaire/en/home.aspx 

2) Sid Mittra, Anandi P. Sahu, Robert a Crane. "Practicing Financial Planning for Professionals" (Practitioners' Edition), 10th Edition. (Rochester Hills Publishing, Inc., 2007) sec. 1-3.

3) Sullivan, Arthur; Steven M. Sheffrin (2003). Economics: Principles in action. Upper Saddle River, New Jersey 07458: Pearson Prentice Hall. p. 312- 375. ISBN 0-13-063085-3.

4) Varshney, R.L.; K.L. Maheshwari (2010). Manegerial Economics. 23 Daryaganj, New Delhi 110002: Sultan Chand & Sons. p. 804-881. ISBN 978-81-8054-784-3.
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Accounting Function for a Chosen

Words: 6160 Length: 23 Pages Document Type: Essay Paper #: 22760906

"Management believes that the accounting estimates employed are appropriate and the resulting balances are reasonable; however, due to the inherent uncertainties in making estimates actual results could differ from the original estimates, requiring adjustments to these balances in future periods."

ased on the data retrieved and the projections made, the accounting division will proceed to the development of the consolidated statements for all of GM subsidies and the overall group. There are 24 consolidated statements, as follows: Discounted Operations; Asset Impairment; Investment in Nonconsolidated Affiliates; Marketable Securities; Variable Interest Entities; Finance Receivables and Securitization; Inventories; Equipment on Operating Leases; Income Taxes; Property - Net; Goodwill and Intangible Assets; Other Assets; Accrued Expenses, Other Liabilities and Deferred Income Taxes; Long-Term Debt and Loans Payable; Pensions and Other Postretirement enefits; Commitments and Contingent Matters, Stockholders' Equity; Earnings per Share Attributable to Common Stocks; Derivative Financial Instruments and Risk Management; Fair Value of…… [Read More]

Bibliography

1. 2007 General Motors Annual Report. Page 9. On the Internet at http://www.gm.com/corporate/investor_information/docs/fin_data/gm07ar/download/gm07ar_full.pdf.Last retrieved on February 15, 2009

2. General Motors Mission Statement, 2009, on the internet at http://www.samples-help.org.uk/mission-statements/general-motors-mission-statement.html. Ast retrieved on February 16, 2009

3. Supplier Diversity, Website of General Motors, 2009, on the internet at http://www.gm.com/corporate/dealers/diversity/index.jsplast retrieved on February 16, 2009

4. Management's Discussion and Analysis, Website of General Motors, 2009, on the internet at http://www.gm.com/corporate/investor_information/docs/fin_data/gm07ar/content/financials/mda/mda_10.htmllast retrieved on February 16, 2009
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Accounting the Impact of Distance Learning in

Words: 1577 Length: 5 Pages Document Type: Essay Paper #: 45566862

Accounting

The Impact of Distance Learning in Accounting Higher Education

This paper is intended as an Introduction to a research study in to the impact of distance learning on the teaching of accounting in higher education. The context of the research will first be introduced i.e., the background to the research. The research to be undertaken will then be introduced, as will the specific questions and sub-questions to be addressed. The significance of this study will then be analyzed, and the people who are expected to benefit from this research will also be outlined. The research methodology and the practical design of this research methodology will be discussed, and the primary and secondary sources to be used will be introduced, and a list of preliminary resources will be given in the ibliography.

Distance learning has grown in popularity amongst students over recent years, for many reasons, one of which has…… [Read More]

Bibliography

Anne Nicholls, Flexible study opens doors., Independent on Sunday, 01-14-1996, pp 12.

Serwatka, Judy A, Improving student performance in distance learning courses., THE Journal (Technological Horizons In Education), 04-01-2002, pp 46.

Mariola, Eleni; Manley, John, Teaching finance concepts in a distance learning environment -- a personal note., Journal of Education for Business, 01-01-2002, pp 177
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Accounting Information and Insights Into

Words: 572 Length: 2 Pages Document Type: Essay Paper #: 51336267



The second question is the cost per unit to produce a given product or deliver specific service. Just as the total cost of revenues for a business, this figure will also provide a business owner with insights into how their business is operating, from the supply chain through pricing and distribution of gross margin assumptions (Hall, 2010). The cost per unit to produce is also a good measure of how well the efficiency of a given company is running at. Often a business owner will evaluate these from the standpoint over the long-term, looking for trends in hwo their business is operating at an efficiency level that makes the entire company profitable. For services business, the cost per service event or services deliver (as a plumber making a house call) needs to have a minimum charge level as costs are allocated across all forecasted calls in a given month. This…… [Read More]

References

Hall, M. (2010). Accounting information and managerial work. Accounting, Organizations and Society, 35(3), 301.

Jansen, E.P. (2011). The effect of leadership style on the information receivers reaction to management accounting change. Management Accounting Research, 22(2), 105.
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Accounting Information a Senior Executive in a

Words: 580 Length: 2 Pages Document Type: Essay Paper #: 7128783

Accounting Information

A senior executive in a Fortune 500 firm along with their colleagues on the company's management team are dependent on accurate, timely, and pertinent financial information regarding the health of the organization. Accounting information has aptly been described as "the language of business, which is used in the management, planning, control, and decision- making processes integral to achieving organizational objectives" (Marshall, D. & McManus, W. 1996). In this regard accounting information falls into distinct categories: financial and managerial accounting; yet with considerable overlap in their utilization by management. Explication of these accounting areas provides considerable insight into their utility in providing effective quantitative data for analysis.

Financial and Managerial Accounting

Financial accounting concerns itself with the "preparation and reporting of financial statements for an entity" (Marshall, D. & McManus, W. 1996); while managerial accounting "is concerned with providing information to managers- that is, to those who are inside…… [Read More]

Likewise, managerial accounting also utilizes financial data to reach conclusions as to how the company is operating and what if any corrections are necessary to enhance profitability. In this vein managerial accounting concerns itself with the analysis of costs, budgeting, performance, and capital expenditures. Managerial accounting information is highly detailed and provides a platform from which to judge the company's revenue creation and its cost controls. As examples, an executive management team might take considerable time analyzing activity based-costing; a "system identifying the activity that causes the incurrence of a cost" (Marshall, D. & McManus, W. 1996). This data could lead to a discussion on the company's operating leverage based on their orientation of fixed or variable costs. While both financial and managerial accounting provides detailed data concerning company performance, managerial accounting has a distinctive narrowness to its scope of focus.

Communication of Information

With volumes of financial information generated by a Fortune 500 firm's accounting department, the question becomes how
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Accounting a Static Budget Is Defined as

Words: 1158 Length: 4 Pages Document Type: Essay Paper #: 3774204

Accounting

A static budget is defined as a budget that is "planned ahead of time based on the owner's best guess about future actual activity." This type of budget is therefore put together for the upcoming time period, and is often based on the data from past time periods, plus or minus different adjustments that management thinks will be necessary. In contrast, a flexible budget is one where the business management can make changes in the midst of an accounting period. Flexible budgeting allows for management to make better decisions on the fly, because the information used in those decisions is kept more up-to-date. Static budgeting relies only on the ability of management to analyze the numbers after the period in order to determine the magnitude and direction of variance, along with the causes of variance. For a flexible budget, management can identify issues with the budget right away, and…… [Read More]

Works Cited:

Mueller, D. (2012). Static budget vs. flexible budget. eHow. Retrieved September 12, 2012 from http://www.ehow.com/info_7784641_static-budget-vs.-flexible-budget.html

Bigelow, L. (2012). Static vs. flexible budgets for new businesses. Houston Chronicle. Retrieved September 12, 2012 from http://smallbusiness.chron.com/static-vs.-flexible-budgets-new-businesses-20879.html
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Accounting - FedEx and UPS

Words: 3140 Length: 9 Pages Document Type: Essay Paper #: 69265327



Another factor that should be taken into consideration is that of overall strategy. Financial statements are snapshots, and sometimes it can be difficult to discern from looking at a small sample of them the firm's overall direction. Key strategic decisions can have a significant impact on the financial statements for a limited period of time. For example, during the period studied FedEx was having trouble absorbing Kinko's which it had purchased. These difficulties are not fully reflected on the income statements for 2005 and 2006. Instead, they appear as an unusual item (a writedown) in 2008. Likewise, UPS took a $6.1 billion writedown in 2007, which made the financial figures for that year look terrible. There is always strategic context in financial statements. That context is not always readily apparent, but it should be taken into consideration when analyzing the financial statements.

The potential impact of mergers and acquisitions should…… [Read More]

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Accounting Operating Income it Typically Defined to

Words: 679 Length: 2 Pages Document Type: Essay Paper #: 28946095

Accounting

Operating income it typically defined to include all operating expenses other than depreciation and taxes (Investopedia, 2011). Because the airplanes are leased, there is no depreciation for West Coast Airlines to take into consideration anyway. The operating income is as follows:

evenue

AVG Passengers

Variable fuel

evenue/pass

Food & Beverage

F&B/pass

Fixed Lease

Ground Services

Flight Crew

Operating Income

The company right now is losing $31,012.50 on every one-way flight to Fiji.

If the company lowers the cost of the flight in order to generate an increase in volume, the operating income figures will look as follows:

evenue

Avg Passengers

Variable fuel

14000

evenue/pass

Food & Beverage

F&B/pass

Commission

Fixed Lease

53000

Ground Services

Flight Crew

Operating Income

-28924

By these figures, Fiji Air loses $28,924 per one-way flight with the lower ticket price and the higher average number of passengers. The bigger issue is that even under this…… [Read More]

References:

Investopedia. (2011). Operating income. Investopedia. Retrieved February 8, 2012 from  http://www.investopedia.com/terms/o/operatingincome.asp#axzz1lna6LUYy 

No author. (2012). Break-even point. Accounting Coach.com. Retrieved February 8, 2012 from http://www.accountingcoach.com/online-accounting-course/01Xpg01.html
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Accounting Choosing the Right Structure

Words: 1626 Length: 4 Pages Document Type: Essay Paper #: 15995914

, 2010). Where there is the sale of shares, there is also a great potential that the existing owners will have little control over who the shares are subsequently sold to, especially in a quoted company. The firm will also be subject to the Sarbanes-Oxley Act (SOX), which was also known as the "Company Accounting eform and Investor Protection Act," in the Senate (Libby et al., 2010).

3.

Decision for the Business

As the business is a new idea, and will initially only involve a single person, the idea of a partnership may be eliminated. This leaves sole proprietorship and corporation. If there is to be only one owner the S-corporation may be used, as this may accommodate a single shareholder. This structure may be attractive as the business will be a separate entity, especially as the owner will not carry any personal liabilities for the business debts. However this…… [Read More]

References

Clarkson, Kenneth W; Miller, Roger LeRoy; Cross, Frank B, (2010), Business Law: Text and Cases - Legal, Ethical, Global, and Corporate Environment, Cenage Learning

Libby, Robert; Libby, Patricia; Short, Daniel, (2010), Financial Accounting, McGraw-Hill

Weygandt, J, J; Kieso, DE; Kimmel, PD, (2011), Financial Accounting, Wiley

The business idea has been set up in a manner which can be easily changed by the student, without impacting on the rest of the paper.
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Cost Volume Profit Analysis the

Words: 635 Length: 2 Pages Document Type: Essay Paper #: 77045369


CVP is very useful for small business also because the analysis takes
into consideration variables like eturn on Investment, or Customer
Acquisition Cost. This analysis allows the company to determine what the
maximum profit volume can be, and how the above mentioned variables can be
changed in order to become successful.
CVP analysis is also able to determine the results of media campaigns,
especially for small business, where results are more visible and can be
observed after a shorter period of time. Furthermore, these results can be
translated into a successful company strategy, given the fact that the
strategy would be based on verified results. In relation to this, market
share can increase due to such a strategy.
For small business, CVP analysis is also used in establishing the
company's budget for certain activities. The analysis is able to provide a
flexible budget variant, which is exactly what a small…… [Read More]

Reference list:
1. Cost Volume Profit Analysis (2008). Business Owner's Toolkit.
Retrieved May 14, 2008 from
http://www.toolkit.com/smallbusinessguide/sbg.aspx?nid=P0675
00.
2. CVP Analysis (2008). Wikipedia, the free encyclopedia.
Retrieved May 14, 2008 from
http://en.wikipedia.org/wiki/CVPanalysis.
3. Kee, Robert (2007). Cost volume profit analysis incorporating
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Accounting Operating Leverage Return on Investment Economic

Words: 580 Length: 2 Pages Document Type: Essay Paper #: 56201325

Accounting

Operating Leverage, Return on Investment, Economic value added and Net Profit Margin at Yum Brands

A firms performance is often measured using ratios. There are many different ratios which are used, all indicating different types of performance measurement; four of these measures are operating leverage, return on investment (ROI), economic value added (EVA) and net profit margin. These all provide the ability to perform historical assessment to assess the trends or patterns in the firms' performance when measured against itself, as well as allowing the firm to be assessed against other competitors or potential alternate investments. Each of the ratios will be examined and considered in the context of Yum Brands

Operating leverage

Operating leverage is a ratio which shows the companies fixed coasts to variable costs. To calculate the ratio it is necessary to have details of the fixed and the variables costs for the items produced. The…… [Read More]

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Accounting Theories and Business Decisions The Business

Words: 1729 Length: 5 Pages Document Type: Essay Paper #: 16133016

Accounting Theories and usiness Decisions: The usiness World

Case Facts

Application of theories

Other cases of stakeholder theory application

Accounting theories and business decisions: The business world

There are many theories that explain the complexity of relationship between different groups of people directly and indirectly related to an organization. Two of the most comprehensive and most discussed theories are stakeholder theory and agency theory. oth the theories describe what the main purpose of each group is and how these groups ought to manage these relationships. In agency theory, it identified that agency relationship takes place when one or more than one principal, acting as owners, delegate their power to make decisions, to a person acting as their agent or steward. Thus, agency theory principally revolves around the relationship of principal and agent. While the principal delegates the authority or decision making power to agent (managers) to act in the best…… [Read More]

Bibliography

Alessi, Chirstopher. 2013. "Understanding the LIBOR Scandal." Council on Foreign Relations, Feb 6. Accessed August 23, 2013. http://www.cfr.org/united-kingdom/understanding-libor-scandal/p28729

Dean, Cornelia. 2007. "Executive on a mission: saving the planet." New York Times, May 22. Accessed August 23, 2013. http://www.nytimes.com/2007/05/22/science/earth/22ander.html?pagewanted=all&_r=0

Jensen, Michael C. 2010. "Value maximization, stakeholder theory, and the corporate objective function." Journal of applied corporate finance 22: 32-42.

Kanter, Rosabeth Moss. 2011. How great companies think differently. Harvard Business Review, November. Accessed August 24, 2013. http://hbr.org/2011/11/how-great-companies-think-differently/ar/2
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Accounting the Lease on the Building Is

Words: 528 Length: 2 Pages Document Type: Essay Paper #: 66700775

Accounting

The lease on the building is for two years, so it is highly unlikely that this is a finance lease. It does not appear that the Large Mart is going to take ownership of the building. Thus, since this is not a finance lease, the journal entry would simply record the rent. There is no opening entry, just an expense.

621 Rent Expense

101 Cash at bank

The wages show as a journal entry at the end of the month. Because the employees were not paid, the wage expense shows as the creation of a liability. The liability account is later offset when the two are paid.

624 Wage Expense

204 Wages Payable

204 Wages Payable

101 Cash at Bank

Well the first to do is have a chat with the audit department about that $12,000 trip to China. It does not cost that much, unless he's buying some…… [Read More]

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Accounting Goals of the Firm

Words: 1610 Length: 6 Pages Document Type: Essay Paper #: 33709352



b. An issue of bonds that is sold simultaneously in several countries is traditionally called a (n) eurobond.

c. If a lender ranks behind the firm's general creditors in the event of default, the loan is said to be subordinated.

d. In many cases a firm is obliged to make regular contributions to a (n) sinking fund, which is then used to repurchase bonds.

e. Most bonds give the firm the right to repurchase or call the bonds at specified prices.

f. The benchmark interest rate that banks charge to their customers with good to excellent credit is generally termed the prime rate.

g. The interest rate on bank loans is often tied to short-term interest rates. These loans are usually called floating-rate loans.

h. Where there is a (n) private placement, securities are sold directly to a small group of institutional investors. These securities cannot be resold to individual…… [Read More]

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Accounting-Economics Decision Making Each Decision

Words: 385 Length: 1 Pages Document Type: Essay Paper #: 94882392

Rational people think on the brink of the margin. This means that a rational decision-maker takes action if and only if the marginal benefit of the action exceeds the marginal cost. People tend to always respond to incentives. Behavior often changes when costs or benefits change (Principles of Economics, 2006).

People make decisions based upon two things. hat they are going to get out of the decision and how much is the decision going to cost. People weigh decisions by comparing the marginal benefits against the marginal costs (Marginal Analysis, n.d.) And since people strive to get the most bangs for their buck, making less risky and thus less costly decisions will most often win out. The economic system as a whole relies heavily on the fact that people are going to take some risks and make some decisions.

orks Cited

"Marginal Analysis." n.d. 16 May 2009

http://sorrel.humboldt.edu/~economic/econ104/marginal/

"Principles of…… [Read More]

Works Cited

"Marginal Analysis." n.d. 16 May 2009

http://sorrel.humboldt.edu/~economic/econ104/marginal/

"Principles of Decision Making." n.d. 16 May 2009

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Accounting Information for Decision-Making

Words: 2585 Length: 8 Pages Document Type: Essay Paper #: 97908272

Accounting Information for Decision Making

Corporate Confirming on Water isk (Feb 2010) indicates that the Global Confirming Initiative (GI) G3 Guidelines' five water-related indications (total withdrawal volume by source, ponds considerably impacted by distributions, percentage and total amount of water recycled and used again, total water discharge by quality and destination, and identification water physiques and related habitats impacted by discharges) make the perfect beginning point for assessing and confirming water risks. Within this section, we'll briefly discuss the relevance of all these standards (Power, 2010).

Total water withdrawal by source

Confirming the entire amount of water withdrawn by source adds for knowledge of the general scale of possible influences and threats connected using the company's water use. The entire volume withdrawn offers an indication from the organization's proper size and significance as a user of water and offers to set up a baseline figure for other information relevant to…… [Read More]

References

Task 1:

GRI, (Global Reporting Initiative). (2006) Sustainability Reporting Guidelines. Version 3.0, Accessed on September 27, 2012 from: www.globalreporting.org/NR/rdonlyres/ED9E9B36-AB54-4DE1-BFF2-5F735235CA44/0/G3_GuidelinesENU.pdf

Power, G. Paddling Upstream - Approaches to Corporate Water Reporting. Business and the Environment, 21. 6 (Jun 2010): 1-3.

Task 2:
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Accounting Software Inherent in the

Words: 841 Length: 2 Pages Document Type: Essay Paper #: 58950861

Further, Oracle also has templates and process definitions for the electronics components market as well. Lastly the financial modules with Oracle can also be used for local government reporting in addition to SOX compliance.

For the small business of $2M their needs are drastically different than the $100M distributor that has offices across multiple geographies. The $2M company for purposes of this example is a manufacturer of air conditioning spare parts and is heavily manufacturing based. Their customer base is primarily throughout the U.S. Their primary need is for an accounting system that can has Accounts eceivable, Accounts Payable, General Ledger, Billing, Inventory Management, distributed order management and sales order management, all core functions of an accounting system (Collins, 2006). In addition this small manufacturer also needs support for Debt Collection, electronic payment processing, online payroll, timesheets and purchase requisition as well. All of these features can be found in…… [Read More]

References

Susan B. Anders. (2006). Website of the Month: Accountant.intuit.com. The CPA Journal, 76(11), 70-71.

Phillip G. Armour. (2005). Sarbanes-Oxley and software projects. Association for Computing Machinery. Communications of the ACM, 48(6), 15-17.

J Carlton Collins. (2006). Small Business Software Grows Up. Journal of Accountancy, 201(3), 50.

Ivancevich, S., Ivancevich, D., & Elikai, F. (2010). Accounting Software Selection and Satisfaction. The CPA Journal, 80(1), 66-72.
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Accounting This Report Is About

Words: 518 Length: 2 Pages Document Type: Essay Paper #: 61159372

When there is an overrun in an electrician's contractor fees or some other issue that is not controlled by the project manger, the project could come in over budget and cause additional cost-control problems.

Poor estimating of an original wiring scheme for example could create delivery delays or a need to push a project's wiring portion into an unacceptable overtime scenario. Thus, any unforeseen delays push costs and the project out of control. This means that responsibility budgeting for the organization requires the project manger to be able to establish deadlines and insure that each project meets its deadlines under or near budget. When this occurs, each satisfied customer usually provides a plethora of positive word of mouth advertising for future projects. Late or over budget projects usually entail the company receiving some verbal or written complaint that stains the company's reputation in the business community.

In conclusion, this report…… [Read More]

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Accounting Assessment of Costs and

Words: 1275 Length: 3 Pages Document Type: Essay Paper #: 95779138

One example has been the printer market; firms will often subsidize the printers that are sold, with the aim of creating long-term profits by the ongoing sale of the printer cartridges (Thompson, 2007). The cellular telephone market also operates in a similar manner, with mobile phone service suppliers subsidizing the cost of the handsets in order to gain a contract from a customer, the cost of the subsidy is offset against the profit that will be gained on the service contract. Therefore, the firm will need to look at the impact that ending production may have on the sale of other goods. However unless there is a complimentary item then it would appear some changes may need to take place.

If there is a loss with the fixed costs of $1,000,000 it is will be expected that higher fixed costs will increase the loss.

Assessment with fixed costs at $3,000,000…… [Read More]

References

Gillespie a, (2010), Business Economics, Oxford, Oxford University Press

Seal, Will; Garrison, Ray H; Noreen Eric W, (2011), Management Accounting, McGraw-Hill Higher Education

Thompson JL, (2007), Strategic Management; Awareness and Change, London, Thompson Business Press.
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Accounting There Are Several Principles

Words: 609 Length: 2 Pages Document Type: Essay Paper #: 24491444

These are considered to be unrealized gains, but for hold-to-maturity securities these gains/losses are not expected to be realized at any point. The company will note the fair value change in a footnote, but will not record such a change on either the income statement of balance sheet (Spiceland, et al.).

If, however, it becomes necessary to sell investments previously classed as hold-to-maturity, then the following adjustments are made. The cash received from the sale is recorded along with any discount on bond investment is sitting as an asset. The investment in the bonds will be recorded at face value. Any profit above face value will be recorded as gain on investments. This essentially ensures that the asset for discount on bond investment is reversed as a result of the sale. FASB No. 115 lists six conditions under which a change of security status from HTM could occur, including deterioration…… [Read More]

Works Cited:

Spiceland, D., Sepe, J., Nelson, M. & Tomassini, L. Intermediate Accounting.

Statement of Financial Accounting Standards No. 115: Accounting for Certain Investments in Debt and Equity Securities. FASB. Retrieved April 23, 2010 from http://www.fasb.org/cs/BlobServer?blobcol=urldata&blobtable=MungoBlobs&blobkey=id&blobwhere=1175818827848&blobheader=application%2Fpdf

Leone, M. (2008). Revised fair-value rule is weaker: Moody's. CFO Magazine. Retrieved April 23, 2010 from http://www.cfo.com/article.cfm/12623892/c_12624199?f=home_todayinfinance
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Accounting and Finance the Budget

Words: 1057 Length: 3 Pages Document Type: Essay Paper #: 14952144



2009= (9,172,000 x365) / 63,729,000

2009= 52.53

2010= (9,211,000 x 365) / 63,398,000

2010=53.03

Trade eceivables Collection Period

The ratio reveals how long a company is able to collect the funds from credit customers owed the business. However, the financial statements of Jameson plc for 2009 and 2010 revealed that the company does not generate revenue from credit sales. Thus, the company credit sales revenue for 2009 and 2010 fiscal years are £0 for the two years.

Formula:

Trade eceivables Collection Period: Trade eceivables/Credit Sales evenue x 365

2009=18,580,000/0 x365

2009 =0

2010=20,243,000/0 x 365

2010=0

Trade payables payment period

The trade payables payment period measures how long a business takes to settle suppliers supplying goods and services on credit.

The formula to calculate trade payables payment period is as follows:

Trade payables payment period =Trade Payables / Credit Purchase x 365

There is no information in the balance sheet…… [Read More]

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Accounting Budgeting the Traditional Role of Budgeting

Words: 1113 Length: 3 Pages Document Type: Essay Paper #: 36277238

Accounting

Budgeting

The traditional role of budgeting combines the need for planning and the development of a framework which can be used for control. This is achieved through the gathering of figures for the expected or desired revenue generation and the expected or desired outgoings associated with the generation of that revenue (de Waal et al., 2011). Two major forms of budget exist for commercial organizations; capital budgeting and operating budgets, the former deals with large long-term projects and investment, whereas operating budgets deal with the everyday operations of the firm or department (Horngren et al., 2010). It is usual for budgets to be prepared in advance of the period in which they will be applied, gathering the relevant information in order to create a budget. The most effective and potentially accurate budgets are those which have accurate input information, which often means consulting with relevant managers involved in the…… [Read More]

References

Chenhall, Robert H; Brownell, Peter, (1988), The effect of participative budgeting on job satisfaction and performance: Role ambiguity as an intervening variable, Accounting, Organizations and Society, 13(3), 225-233

Horngren, Charles T; Sundem, Gary L; Stratton, William O; Burgstahler, Dave, Schatzberg, Jeff O, (2010), Introduction to Management Accounting, Prentice Hall

Howell, R. A, (2004, July), Turn Your Budgeting Process Upside Down, Harvard Business Review, accessed at http://hbr.org/2004/07/turn-your-budgeting-process-upside-down/ar/1

de Waal, Andre; Hermkens-Janssen, Miriam; van de Ven, Arco, (2011), The evolutionary adoption framework: explaining the budgeting paradox, Emerald 7.
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Accounting Merchandise Inventory Merchandise Inventory

Words: 726 Length: 2 Pages Document Type: Essay Paper #: 81512061

To do otherwise would create problems with the company's accounting.

Cosigned goods are also included in the merchandise inventory (Elliot & Elliot, 2004). Even though they are out on consignment, they are still a part of the goods that belong to the company (Elliot & Elliot, 2004). If these goods have not been included in the company's inventory, it becomes difficult to account for their sales and can cause serious problems with accounting. Not including cosigned goods would make it appear as though those goods have already been sold, but there would be no income for them. When they did sell, the income would appear to come from goods that were not shown in inventory. That can take time and effort to sort out, and can leave the company looking as though it was trying to hide something when, in fact, it simply listed its goods incorrectly. By making sure…… [Read More]

References

Elliot, B. & Elliot, J. (2004). Financial accounting and reporting. London: Prentice Hall
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Accounting Capital Accounting and Budgeting Questions NPV

Words: 870 Length: 3 Pages Document Type: Essay Paper #: 98923524

Accounting

Capital Accounting and Budgeting Questions

NV

When a firm has different potential projects or investments, they will want to assess their options to ensure they make the best choice. However, comparing different types of projects or investments can be difficult, especially if the projects have different terms to maturity and/or different risk profiles. A useful tool is that of net present value (NV). Net present value allows different types of project to be compared on a like for like basis.

The net present value calculation takes all of the forecast future net cash flows of a project (the revenue less all the costs), and then discounts them into today's value. The discounting allows the firm to assess what the value of the future cash flows will be in today's money. The rate of discount applied will usually be the cost of capital for the firm, but where there is…… [Read More]

Political risk manifest in a number of ways, they may be in the policies and laws that a government enacts, political instability and even aspects such as competition regulations. These will all impact on the potential level of risk associated with an investment. When undertaking capital budgeting, for a project to be viable, where there is an additional risk it is necessary for there to be a risk premium to justify taking that additional risk. The introduction of different types of policies, regulation or laws by government, may impact on the overall value of an investment, and in some cases may be severely detrimental. For example, in some countries there may be a risk of nationalization which the company may lose a significant amount of its investment (Mintzberg et al., 2008). Likewise, the amount of value in investment may create, especially if it is targeting markets, will be impacted by the competitive conditions, which in turn influenced significantly by government policies and attitudes.

Transfer pricing

Transfer pricing refers to pricing of internal transactions, for example when goods are sold by one company to another company in the same group, or possibly transfers between divisions. When undertaking capital budgeting, the potential benefits and risks associated with transfer pricing will need to be considered. A project may be viable due to the economies which can be gained from in-house, or in group supply. Likewise, the potential benefits may also be limited in terms of national regulation and the way in which transfer pricing is controlled. Transfer pricing will impact on the costs and potential profits that are assessed when examining potential investments or projects. The security of the
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Accounting Economics Marginal Analysis Define Marginal Revenue

Words: 3770 Length: 13 Pages Document Type: Essay Paper #: 3755498

Accounting Economics

Marginal Analysis

Define marginal revenue.

Explain its relationship with total revenue.

Marginal Revenue (MR) is the revenue that is linked to one more additional unit of production. The demand for the product will determine whether it will be higher or lower or even the same as the previous unit of production revenue. MR can be defined therefore as the addition realized revenue to the Total Revenue (TR) by a unit increment in the sales volume of a firm in the market (Economics Concepts, 2011).

For instance if a lime factory sells 100 liters of lime at $4 per liter, the total revenue of the factory would be $400. Incase the factory increases the sales volume from 100 liters to 101 liters, then the total revenue of the factory increases to $404. The increase by $4 in the total revenue by one unit increase in rate of sales per…… [Read More]

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Accounting for Managers Liquidity Ratios

Words: 707 Length: 2 Pages Document Type: Essay Paper #: 19879100



b) The previously analyzed case shows the potential limitations of ratio analysis in the fact that this type of analysis only shows a particular moment in the company's business development process. For example, the significant decrease in the interest coverage ratio may in fact hide the fact that the company has taken an extra loan to improve its equipment and that this new equipment is expected to generate higher earnings at a later period.

Section B

3. The business life cycle involves, similarly to the product life cycle, five different stages, namely the establishment of the business, the growth period, the expansion, the maturity and the decline. All these stages have different impacts in terms of business risks, sales volumes, cash flows and profits. The first two stages imply high business risks, as well as high costs that are associated with the development of a new project or service, the…… [Read More]

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Accounting -- Economics Accounting and

Words: 562 Length: 2 Pages Document Type: Essay Paper #: 32534655

Leaders can also increase self-leadership by withdrawing from the team leading function and by motivating each team member (perhaps privately) of the expectation and hope that each will develop leadership skills to his or her full potential. Finally, leaders can increase leadership among their followers by gradually increasing leadership responsibilities at appropriate opportunities.

Question 2b: How might an understanding of knowledge-based trust explain the reluctance of a person to change jobs?

People differ substantially in the degree to which they seek novel experiences or changes from established routines. People considered of self-described as thrill seekers, differ neurologically from people who prefer the safety and security of routines (Gerrig & Zimbardo, 2001). Naturally, anyone who prefers stable routines over changes or novel experiences is likely to be much less comfortable changing jobs than a person who relish excitement and change.

Apart from differences in personality and preference, skill-specific competence increases sharply…… [Read More]

References

Ross, a. (2002) No Collar: The Humane Workplace and Its Hidden Costs.

Basic Books

Greenstein, F.I., Lerner, M. ed (1971) a Sourcebook for the Study of Personality and Politics. Markham Publishing Company Chicago

Gerrig, R., Zimbardo, P. (2001) Psychology and Life 16th ed. Allyn & Bacon
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Accounting Finance Identify the Stages of

Words: 1424 Length: 4 Pages Document Type: Essay Paper #: 16608887

production/income and so on. Some companies also include quality assessments as part of their analysis of department efficiencies.

5.Explain the role of the budget in the business control cycle.

Budgets can be used to help a firm meet goals and objectives. The business control cycle consists of four steps. The first is setting the standard, that is, creating the budget. The next is recording the performance of the company's departments. Third, variances from the budget are identified and analyzed to understand why they occurred. Finally, action can be planned to either correct problems identified this way, or to put preventive measure in place to enhance future performance.

6.Analyze internal and external control mechanisms that can be put in place to monitor and evaluate the budget.

Internal control mechanism could include consistent follow-up on internal and external audit findings and reporting findings of internal audits to the head of the organization…… [Read More]

References

Loeb, R. And M. Workman (2002) Annual budgeting as a management tool. Robert Loeb and Company. Retrieved 6 September 2005 at http://www.robertloebandcompany.com/articles/body_articles.html2002

Miller, G.J. And J. Rabin. (2001) Performance-based budgeting. Boulder, CO: Westview Press.

Porter, W. (2005, June 1). CRO advantage: outsource clinical trials to launch biotech development success. Biopharm International. Retrieved 8 September 2005 from www.highbeam.com.
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Accounting and Finance

Words: 700 Length: 3 Pages Document Type: Essay Paper #: 23199749

Accountin Homework

a) TJX' current ratio = 1,743,105/1,306,846 = 1.33

b) OshKosh current ratio = 123,962/47,086

Althouh Oshkosh current assets and liabilities are relatively small compared to TJX, the company's current ratio is much hiher. This means that it is in a better relative position to pay its bills

c) There are a few items that miht be difficult to turn into cash. For example, deferred income taxes couldn't be converted into cash quickly. Also, it could take a while to sell inventory, collect A/R, or collect on short-term investments.

TJX

Cash

AR

sum

Liabilities

Current

OskK

STI

AR

sum liabilities current

e) The total assets of the company is approximately 2.7 million but the shareholders equity is about 1.2 million. However, the company also has about 1.3 million in current liabilities. Therefore, most of its liabilities are current and most of the financin came from equity financin.

f) TJX…… [Read More]

g) In 2001 the cost of revenue grew at a faster rate than the overall gross sales. This basically means that it was paying more to produce its goods and/or services. The company reasonably has figured out a way to reduce its cost of revenue associated with total sales over the previous years.

h) If Microsoft was pushing 2 and 3-year service contracts, then it would collect more money upfront for its services (unearned revenue). Therefore, its cash amounts would increase, but also its liabilities relative to prepaid services that it must provide in the future. The company could also invest the cash from the prepaid accounts and receive some interest income. However, the company probably also has to discount its prepaid services to offer an incentive for companies to purchase these for multiple years.

i) If everything else was the same, then the stock price would decrease because the company would be selling less of its 2 and 3-year contracts. However, it could be the case that the 10% decrease could also be transferred to 1 year contracts or something to that affect. Therefore, it is still possible that total sales could still rise even if unearned revenue decreases. More information would be needed to provide a precise answer.
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Accounting Snags' Stock Price Has Been Cut

Words: 799 Length: 3 Pages Document Type: Essay Paper #: 13189048

Accounting

Snags' stock price has been cut in half the past few years. Investors are concerned that almost every reliable measure of the company's financial health has declined in that period. The worst area is with profitability, as the company's margins have declined sharply at all levels. If current trends in profitability persist, Snags will lose money in FY2013. Along with the decline in profitability and therefore investment returns, other ratios have also suffered. The company's operating efficiency remains poor to mediocre, its liquidity has improved but only because of inventory and receivables sitting longer than usual, and the gearing ratio has increased as the company has borrowed to offset the decline in operating cash flow.

Body

This report will focus on the areas of concern with respect to the profitability, efficiency, liquidity and capital structure of Snags Ltd. Financial ratios will be used as the basis of this analysis.…… [Read More]

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Accounting Memo John and Jane Smith Add

Words: 870 Length: 3 Pages Document Type: Essay Paper #: 61528973

Accounting Memo

John and Jane Smith

Add, NearLakes CPA Services

RE:

Tax Implications

Mr. And Mrs. Smith:

I have carefully reviewed the materials from our recent meeting and have the following information and recommendations for your situation:

Under U.S. Tax law, Gross Income is defined as compensation for fees, services, commissions and similar items (26 CFR 1,61.2) (Internal Revenue Service, 2013). In this case, the income derived from a client in a personal injury case is considered taxable income. The IRS would expect that you note this as income to the firm and would expect an estimated tax be paid. Based on a simple calculation from the IRS site, and treating this $300,000 as a bonus, we would recommend that you make a payment of $85,048 in Estimated Taxes by the end of next quarter. Failure to do so might cause the IRS to levy additional penalties when the tax…… [Read More]

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Accounting - Merck & Co

Words: 580 Length: 2 Pages Document Type: Essay Paper #: 66438591

25 in 1999, $0.24 in 2000 and $0.23 in 2001. This earning is after deducting cost of sales and operating expenses.

The following were the cash flows from 3 activities of Merck and ICN (figures were in dollars):

Cash inflow (outflow)

Merck & Co., Inc.

ICN Pharmaceutical Inc.

From operating activities

6.1B

7. 7B

9.1B

87.1M

From Investing activities

2.8B)

3.6B)

4.3B)

50.36M)

90.08M

119M)

From Financing activities

3.9B)

3.4B)

5.1B)

36.4M

Operating cash flow is the cash that the Company generates through running its business. Considering cash flows of both Companies were positive, it can mean that their working capital is more than adequate to meet the operating requirements of the Company.

Cash flow from investing activities were aggregate change in a company's cash position resulting from any gains (or losses) from investments in the financial markets and operating subsidiaries, and changes resulting from amounts spent on investments in…… [Read More]

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Accounting and Economics the Power

Words: 2218 Length: 6 Pages Document Type: Essay Paper #: 43132637



Education should come from non-profit international scientific, health and environmental organizations. They would be most widely respected and would have more access to both the TNCs and the host and origin country governmental bodies. They can educate the corporations on the practicality of policing their own people and actions. They can educate government bodies on how to include these considerations in political decisions. They can be resources for The United Nations and the TO to help them decide on their programs. Finally they can help the educate the global populace via global media, especially independent educational media.

The last suggestion is one way to approach using public relations. Another is to incite the press and various other media to report the good and the bad actions of TNCs. His makes for interesting news for their audiences, and good public service for the media. In essence, Fowler has said much of…… [Read More]

Works Cited

Fowler, Robert J. "International Environmental Standards for Transnational Corporations." Environmental Law 25.1 (1995): 1-30. Questia. 14 Dec. 2006 http://www.questia.com/PM.qst?a=o&d=5000274495.

Ietto-Gillies, Grazia. Transnational Corporations: Fragmentation Amidst Integration. London: Routledge, 2002. Questia. 14 Dec. 2006 http://www.questia.com/PM.qst?a=o&d=108115153.

Thomas Donaldson, The Ethics of International Business 31 (1992).